SELECT AG is one of the leading actors in Germany’s independent aftermarket. Purchasing cooperation based on an IoT solution enables independent garages to be supplied with vehicle data and makes them more competitive.

Replacing the oil filter, changing tires, renewing worn-out brake linings or carrying out the annual inspection, garages perform a wide range of tasks. Yet cars only relay information about service requirements and breakdowns to auto manufacturers and authorized workshops. That puts independent garages at a clear disadvantage that auto parts wholesaler Select AG’s Cloud IoT solution could now eliminate.

SIM CARDS FOR PREDICTIVE MAINTENANCE

Since an automatic emergency call system was made mandatory in 2018 for all cars in Germany, auto manufacturers and their authorized workshops have received all vehicle condition data automatically via obligatory SIM cards installed in cars. That enables garages to contact their customers directly and inform them about upcoming repairs. “With around 45 million vehicles on German roads,” says Daniel Trost, Chief Digital Officer at Select AG, “that is an enormous earnings potential.” Until now, however, this data has been the exclusive preserve of the auto manufacturers, and Germany’s 21,000-plus independent garages have had no access to it. Seeing that as a competitive disadvantage in the German independent aftermarket, Select AG sought a solution.

CONNECTED VEHICLES BENEFIT INDEPENDENT GARAGES AND MOTORISTS

For independent garages access to in-vehicle data is a prerequisite for offering existing and potential customers digital services such as predictive maintenance when, for example, the original guarantee has expired and motorists might like to switch to a garage of their choice. Subject to the motorist’s consent the auto parts wholesaler Select AG wants not only to collect and process this data and make it available to independent garages and its customers. To offer the highest possible security for data transfer and processing, the vehicle garages use a Mobile IP-VPN. In a secure network, the data is transmitted in encrypted form and only authorized users can access it. This also contributes to the requirements of the EU DSGVO. It also sees that as a great opportunity to bind drivers more strongly to independent garages. That, according to a Bitkom survey, is exactly what motorists want from service providers such as garages. When buying a car 77 percent of Germans attach increasing importance to digital services based on vehicle data.